The Economic and Financial Crimes Commission (EFCC) has raised serious concerns over the use of cryptocurrency to finance the importation of illegal arms into Nigeria. EFCC Chairman Ola Olukoyede revealed that criminal networks are increasingly leveraging digital currencies to facilitate arms deals, effectively bypassing traditional regulatory frameworks and complicating law enforcement efforts.
According to Olukoyede, the decentralized and often anonymous nature of cryptocurrency transactions makes them an attractive option for arms traffickers. These digital currencies enable perpetrators to conceal their identities and obscure the flow of funds, thereby hindering tracking and prosecution efforts.
The chairman emphasized that this trend poses a significant threat to national security, potentially leading to an escalation in violent conflicts and instability within the region. In response, the EFCC is intensifying its monitoring of cryptocurrency transactions linked to illicit activities and collaborating with international partners to dismantle these sophisticated networks.
Analysts warn that if left unchecked, the increased use of cryptocurrency in the illegal arms trade could exacerbate existing security challenges in Nigeria, making it imperative for regulators to introduce stricter measures on digital currency transactions and enhance cross-border cooperation.